Before you put your home on the market, make some important decisions and take the right steps to increase your chances of selling the property quickly and for the best price.

1. If you plan to buy another home and have the money from the sale of your current property, include a contingency in the offer. That is, specify in the contract that the purchase of the home depends on the sale of your current property. If by chance you cannot sell your home, you will not be obliged to buy the other one.
2. Make sure you qualify for financing if you are purchasing another property and need to use your money only as a trade-in.
3. Be aggressive in your sales price. Don’t waste time offering it at a price much higher than what the market can afford. The only thing you can do is help your neighbor sell theirs quickly!
4. Always try to work with a real estate agent, if so, make sure you understand and agree to the compensation plan.

Difference between being for sale and being able to sell

The difference between “being for sale” and “being able to sell” lies mainly in the sales price. Therefore, it is essential that the correct price is determined before putting the property on the market and that the competition is constantly analyzed in order to adjust the price when necessary.

• Build on neighbors’ properties that they have NOT been able to sell
• Try to recover the money invested in the remodeling.
• Based on personal financial need.
• Trying to sell without motivation or need, which makes it difficult to compete with owners who have a real need to sell.
• Start high to “test” the market and lower the price in the future.

1. Use properties that have sold in the last 3 months (up to 6 months if necessary) to determine the average sales price within the community.
2. Analyze the properties available in your building or community to position your property as the #1 option in the market
3. Renovations are considered added value as long as no attempt is made to recover the cost.
4. When in doubt, hire the services of a professional appraiser (appraiser).
5. Be aggressive on pricing, start with a very attractive price so you can create competition among buyers, and have several offers to negotiate.
6. The market never allows you to “give away” your unit. If it is much below the actual price, buyers will bid above the list price. Remember that you are not obligated to accept any offer.
7. Note how many days those units were on the market before being sold.
8. When in doubt, hire the services of a professional appraiser (appraiser).

Buyers and sellers have closing costs associated with the transaction. Therefore, it is important that before putting the property up for sale, you have an estimate of the closing costs and thus determine the amount you can count on once the transaction is completed. These can be considered between 3 and 4% of the value of the property.

• The balance of the existing mortgage, whether it is a loan, second mortgage or lines of credit.
• Administrative fee charged by the lender to repay the loan.
• Money owed to contractors and/or for court rulings or property taxes. These amounts must be paid prior to closing.
• Penalty of some loans for early payment of the debt.
• Fees payable to document that debts have been paid in full.
• The fees or commissions paid to real estate brokers involved in the transaction. Generally 6% of the sales price and paid in full by the seller.
• The fees charged by the notary to verify the identity of the signatories of the document.
• The costs incurred by escrow agents are they receive money from the lender, pay all costs, collect deposits, and distribute profits to the lender/seller.
• Title Search Costs o Proof that the seller has the legal right to sell the home. Title companies search public records and produce a commitment of insurance that certifies that the seller owns the home and indicates the details of any liens or other claims affecting the title of the home.
• Concessions the seller agrees to make to help the buyer pay closing costs. Only if applicable.
• Repairs or Work that must be completed by the seller (if applicable) before the sale, whether as a result of the buyer’s negotiation or as a condition of the lender.
• First year protection plan for home buyers. Only if applicable

For practical purposes, closing costs for the seller can be estimated as follows:

• Between 1.5% and 3% of the sale price.
• Property taxes accrued to date.
• Mortgages and/or lines of credit that exist on the property.
• Commissions (generally 6% of the sales price)
• Expenses generated by the title company in legal searches and the documentation required to close the transaction.